Wednesday, October 3, 2012

Sprint Nextel Corporation(NYSE:S) shares recovering
from yesterday’s sharp loss. Today’s rally came in despite the fact that Deutsche
Telekom AG (DTE) is all set to merge with its T-Mobile USA division with
MetroPCS (PCS) Communications Inc., which means Sprint Nextel is behind now.

While Sprint Chief Executive Officer Dan Hesse has
said the third-largest U.S. mobile-phone carrier will play a role in industry
consolidation, Stifel Financial Corp. says a tie-up between MetroPCS and
T-Mobile USA will limit Sprint’s takeover options.

Will
Sprint Continue To Move Higher And Hit $10 This Year? Find Out Here

Sprint is trading at a 58 percent discount to sales,
the lowest in the group, according to data compiled by Bloomberg.

While Sprint won’t be forced to immediately do a
deal, it could still try to merge with T-Mobile USA or buy spectrum from Dish
Network Corp. (DISH) or Verizon Wireless, said Piper Jaffray Cos.

Shares of Sprint are up 6.50% to $5.22.

Netflix, Inc.(NASDAQ:NFLX) is another stock which is
showing some relief after the slump in the past one year, which had wiped out
the company’s 50% market cap.

Today’s 9% rally after analyst at Citi issued a note
to its clients stating that overall customer satisfaction with Netflix has started
to show sign of recovery for the first time since last summer, while adding
that the company's competitive position as an online video destination
continues to tough. The firm further noted about the improving churn propensity
and improvement in perceived streaming content selection as reasons for the buy
rating.

Shares of NFLX jumped
9.50%.

Vringo,
Inc.(NYSEAMEX:VRNG) is the stock of the day as it soared 30% to $4, its highest
level since late July, 2012.

This morning, the company
got positive news from a federal judge related to its ongoing patent fight with
Google. The judge concluded that at this moment no summary can be issued related
to case. After today’s judgment, Vringo has cleared one of the last hurdles
that could have stopped the company from going to trial Oct. 16.

The judge has further
ordered that the parties engage in settlement discussions between United States
magistrate, Judge Lawrence R. Leonard at 10:30am, Tuesday October 9, 2012.
There are other talks scheduled to take place on October 5th.